This document discusses magazines moving to digital platforms and the opportunities and challenges they face. It notes that while print advertising has seen modest growth, online advertisements are driving more growth due to the interactive capabilities online. However, magazines need quality content and large readerships to attract advertisers. Readers are spending more time with digital magazines but many still expect free content. Overall, advertisers will continue supporting magazines online if they can reach targeted audiences through engaging multimedia content and measurable ads.

1. Leisure and lifestyle magazines:
?
Facing the digital future
Will advertisers continue to
support magazines online?

2. What does a magazine have to sell?
Advertisers
DUAL
PRODUCT
Content Readership

3. Why does advertising matter?
Business model of magazines online
1. Subscription: Premium online article and/or
multi-media content
2. Search ads to web-site visitors, banner
ads, affiliations to retail web sites, classified
ads, product-purchase
capabilities, advertiser directory links, or
alternative informational/commercial
purpose

4. Content: Print & Online
Interests. Beliefs. Values.

5. Content online
“Ingredients” to satisfy readers & advertisers online:
• Great features and columns
• Exclusive (Interviews)
• Archives
• Q&A
Multimedia elements
• Images
• video & audio, Flash, Podcasts, Infographs, etc
• Interactivity: Blog comments/Forum discussion, Social media, RSS, UGC,
• Speed and depth: Latest, Current, Up-to-the-minute,

6. Content online
“Ingredients” to attract advertisers online:
• Multimedia with ads: Branded video and
audio, pop up ads, RSS with ads
• Display advertising
• Classified advertising
• Advertorials
• Search engine
• Pay per click, unique user ads

7. Readership of magazines online
Facts that advertisers like:
• 74% of adults in the UK are reached by one of the NRS listed
magazines each average issue period
• 81% of women and over 67% of men are reached by an NRS
title each average issue period
 15-24 year olds are the age group most likely to be reached by magazines.
79% of young adults in the UK are reached by one of the NRS titles
each average issue period
 56% of adults “almost always” read at least one of these titles
Source: NRS Jan to June 2009 PPA – Adults reading one of the 147 titles listed on the NRS

8. Readership of magazines online
Facts that advertisers like:
• Magazine readers pay attention to magazines and are much less likely to engage
in other activities relative to how they use other media.
Source: PPA Absorbing Media / Recency Planning Advocates

9. Readership of magazines online
Facts that advertisers like:
 Almost everyone who reads the title. 90%
of pages are viewed – its up
to the advert to catch attention and communicate
• 48% of readers agree that advertising adds to the enjoyment of
reading
• 63% of Influentials say magazine advertising has influenced their
recommendations
 Magazines have highest attention of all media. Readers are least
likely to be doing „something else‟ than users of any other medium
Source: NRS Jan to June 2009 PPA – Adults reading one of the 147 titles listed on the NRS

10. Readership of magazines online
Facts that concern advertisers
• Readers are getting used to the free content online
nowadays
• How many paying readers out there and remember ads
or take action on them?
• Web2.0 & Web3.0: Magazines (online) are facing tough
competitions from social media, other websites that
provide similar content to magazines may take away
readers
• How to measure the effectiveness of online advertising?

11. “ Fish where the fish are and
you will be a lot more successful”
Sergio Zyman (2002)
First CMO for Coca Cola
Anyway…

12. Stats & trends
Digital magazine readers
• Most are “very satisfied” or “satisfied” with their digital
publications
• Timelier, easier, environmentally friendly, and more
searchable.
• Spending longer reading online publications compared
to print versions
Source: Qmags. (2010). 2010 Annual Digital Magazine Readership Survey

13. Stats & trends
What about advertising in digital edition?
• More creative and engaging by having the ability to use
different media
• Audio or video giving the reader a different experience
• Clearly capturing the readers’ attention
• 55% of the survey respondents said they had clicked on
a link within an advertisement
Source: Qmags. (2010). 2010 Annual Digital Magazine Readership Survey

14. “ In the near future, most
digital content will be free. Who will
pay for it? The advertisers will. ”
2020 Shaping ideas
Jeffrey Cole (2010)

15. Will advertisers continue to
support magazines online?
Going digital is the future
• Printed advertisement income has shown
moderate growth
• Online advertisements are driving growth
• More opportunities for advertisers with
interactive content in a way not possible
in print at lower costs

16. Will advertisers continue to
support magazines online?
• Bearing implications of dual products in
mind: Content + Readership
• Readers are migrating online
• Advertisers can directly reach target
audience online

17. Will advertisers continue to
support magazines online?
• Print: Circulation is low/on the decline
• Online: Few unique visitor
• Glossy lifestyle and leisure titles
• Print: High circulation
• Online: High traffics
• Quality content
• Attractive readership demographics & profiles

18. Thank you.
@Rachel Zhong